Sitel Reaps Q1 Profits, Tax Windfall

Share this content:
Teleservices provider Sitel reported yesterday that its revenues were down but its net income was up in first quarter 2001, in part because of a tax benefit that resulted from an administrative change.

Revenues for the first three months of 2001 were $184 million, down 7.4 percent from the same period in 2000. But net income rose to $10.6 million in first quarter 2001 compared with $3 million in the first quarter of last year.

Sitel, Baltimore, said it saved $9.8 million by electing to treat its foreign operations as part of the U.S. organization. The company said it expected to continue reaping tax savings from the change as long as Sitel's U.S. taxable income continues to increase in the coming years.

Sitel chairman/CEO Jim Lynch said he was disappointed with the company's overall performance in the first quarter but had seen a number of positive developments. In addition to realizing tax savings, Sitel began work in the first quarter for a number of new U.S. clients in the financial services, telecommunications and retail industries.

Sitel estimated that its second-quarter 2001 revenues would be in line with the company's first-quarter results. The company is projecting overall revenues of $770 million to $800 million during 2001.


Next Article in Marketing Strategy

Sign up to our newsletters

Company of the Week

Since 1985, Melissa has helped thousands of companies clean, correct and complete contact data to better target and communicate with their customers. We offer a full spectrum of data quality solutions, including global address, phone, email, and name validation, identify verification - available for batch or real-time processes, in the Cloud or on-premise. Our service bureau provides dedupe, email/phone append and geographic/demographic append services for better targeting and insight. For direct mailers, Melissa offers easy-to-use address management/postal software, list hygiene services and 100s of specialty mailing lists - all with competitive pricing and excellent customer service.

Find out more here »

Career Center

Check out hundreds of exciting professional opportunities available on DMN's Career Center.  
Explore careers in digital marketing, sales, eCommerce, marketing communications, IT, data strategies, and much more. And don't forget to update your resume so employers can contact you privately about job opportunities.

>>Click Here

Relive the 2017 Marketing Hall of Femme

Click the image above